TIME Mulls Indonesia Court Ruling

When TIME's Asian edition published an investigative story in 1999
demonstrating how Indonesian leader Suharto and his children had enriched
themselves during his 32-year rule, the former dictator sued the magazine
for libel. He asked for a remarkable sum of money  $27 billion  and he
lost. The Central Jakarta District Court rejected his suit in 2000, a
decision that was subsequently upheld by an intermediate appellate court and
widely viewed as a victory for press freedom in the country.

Suharto's lawyers continued to appeal the decision, however, all the way
up to Indonesia's Supreme Court. There was no indication that the case had
progressed, until yesterday. Press reports quoted a court spokesman in
Jakarta as saying that the Supreme Court has ruled against TIME, awarding
Suharto  who stepped down as President in 1998 and who, at age 86, is
apparently in declining health  $106 million and calling for TIME to print
an apology.

TIME and its lawyers assume the reports are accurate, even though TIME
hasn't yet been informed of any decision. The magazine stands by its story.
"This is a blow to freedom of the press, and it means it is not safe for the
press to work," Todung Mulya Lubis, an Indonesian lawyer representing TIME, told
Agence France Presse. "TIME will take any legal measures available to defend freedom of the
press, because this is important to uphold justice and the truth."

The article in question, a 14-page story entitled "The Family Firm" (the
cover line read "Suharto Inc.,") showed how Suharto and his children built
up a fortune estimated at $15 billion in "cash, shares, corporate assets,
real estate, jewelry and fine art," amid a climate of corruption, collusion
and nepotism.

Suharto denied the charges, and when he brought his lawsuit, many
observers assumed that a foreign publication wouldn't be able to get a fair
trial in Indonesia when it was up against a former President who had
appointed the judges hearing the case. Yet the Jakarta court ruled that the
article had been published in the public interest, a defense against defamation
in Indonesia, and that Suharto had presented insufficient evidence to
support his claims. The court also ruled that TIME had "covered both sides"
in its article.

It's unclear why the Indonesian Supreme Court has apparently now
overturned that ruling. Neither side presented any fresh arguments before
the high court. Once TIME is officially notified of the decision, it has the
option of filing a request that the court review its decision, the final
stage in the Indonesian legal process.

Ironically, the Indonesian government has pursued its own cases against
Suharto, alleging widespread corruption. Indonesia's attorney general
dropped corruption charges last year, citing Suharto's inability to
defend himself due to poor health. But press reports indicate that a civil
case seeking more than $1.5 billion, which alleges that Suharto misused
charity funds during his rule, is still pending.